How to Proceed with Probate Without Having Mortgage Loan to Pay Off Reverse Mortgage

[paklein58]

My question involves estate proceedings in the state of: MARYLAND

My father died with a will that left all his assets equally to my sister and me. He had a reverse mortgage on his home. I would like to refinance the balance due on the reverse mortgage (a different lender has agreed to this, i.e. the loan to value is good and I qualify for this amount) and then rent the home back to my sister. My sister is good with the home being owned solely by me and does not require any proceedings from the home. The rest of the estate will be split between us.

The new lender does not want to proceed with the loan until the estate has completed probate. However, I don't understand how I can complete probate (I am the executor) without having the new loan in place. What is the best way for me to proceed with this?

[Mr. Knowitall]

The issue here is that the estate is not the borrower, you are. So the bank needs you, as owner, to commit to the new mortgage - not the estate.

When you spoke with the reverse mortgage holder about this, and whether they would cooperate in a closing that might occur (with court authorization for the distribution of the home) during or immediately after probate, what did they say?